SolarEdge Technologies (NASDAQ: SEDG) has seen its price target increased by UBS Group from $30.00 to $40.00, according to a research report released on November 5, 2023. This adjustment comes as part of a broader analysis from various equity analysts who have recently issued reports on the semiconductor company’s stock.
In addition to UBS Group’s new target, other analysts have also revised their estimates. Roth Capital raised its price target from $15.00 to $25.00 while maintaining a “neutral” rating. Susquehanna similarly increased its target from $25.00 to $40.00, also giving it a “neutral” rating. Meanwhile, Wells Fargo & Company has set a target price of $42.00, up from $24.00, assigning an “equal weight” rating. Royal Bank Of Canada adjusted its target from $25.00 to $34.00, while Morgan Stanley increased its price objective to $27.00 from $25.00 but gave the stock an “underweight” rating.
Currently, the consensus among analysts is mixed, with eighteen rating the stock as a “Hold” and ten assigning a “Sell” rating. According to data from MarketBeat.com, SolarEdge Technologies holds an average rating of “Reduce” with an average price target of $24.62.
Recent Earnings Performance
SolarEdge Technologies recently announced its quarterly earnings results on November 5, 2023. The company reported an earnings per share (EPS) of ($0.31), which exceeded analysts’ expectations of ($0.43) by $0.12. Despite this positive deviation, the company recorded a negative return on equity of 191.53% and a negative net margin of 177.64%. The revenue for the quarter reached $339.70 million, surpassing the anticipated $331.13 million. This represents a 30.4% increase from the same period last year when the company recorded an EPS of ($15.33).
Looking ahead, SolarEdge Technologies has set its guidance for the fourth quarter of 2025 at an unspecified EPS, while analysts project a loss of ($4.54) for the current fiscal year.
Institutional Investment Trends
Recent movements among institutional investors indicate growing interest in SolarEdge Technologies. Several hedge funds have either increased their stakes or acquired new positions in the company. For instance, U.S. Capital Wealth Advisors LLC purchased a new position valued at $204,000 during the second quarter. Bayforest Capital Ltd raised its stake by 49.8%, now owning 85,461 shares valued at $1.74 million after acquiring an additional 28,425 shares.
Phoenix Financial Ltd also entered a new stake valued at $216,000, and Migdal Insurance & Financial Holdings Ltd significantly boosted its holdings by 10,038.2% during the first quarter, now owning 1,109,225 shares worth $17.95 million. In total, institutional investors currently hold approximately 95.10% of SolarEdge Technologies’ stock.
SolarEdge Technologies, based in the United States, specializes in designing and manufacturing direct current (DC) optimized inverter systems for solar photovoltaic (PV) installations. The company operates in multiple regions, including Germany, the Netherlands, and Italy, and is actively involved in the solar energy market, focusing on both solar and energy storage segments.
